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Business litigation commenced over car bought at auction

On behalf of Kadish & Associates Law Group posted in Business Litigation on Friday, September 11, 2015.

Arizona car enthusiasts most likely know about the Barrett-Jackson car auction that takes place here in the northern part of the state each year. Numerous classic cars are auctioned off at this prestigious auction. Recently, a man who purchased one of the cars at the auction earlier this year filed business litigation alleging that he did not get the car described in the auction materials.

He paid somewhere in the neighborhood of $121,000 for a 1967 Ford Mustang fastback with a 427 side oiler engine. Reportedly, this engine substantially increases the value of the car. The man who purchased the car did so, in part, due to the engine.

Once he took possession of the car, which Park Place Ltd entered into the Arizona auction, it had numerous mechanical problems. Ultimately, the engine blew. When the new owner took the car in for repairs, it was discovered that the engine was not a 427 side oiler but just a standard 427 engine, which is not what the man was told he was getting. Reports suggest that it is not possible to differentiate between the two engines simply by looking under the hood.

The owner acknowledges that vehicles sold at the Barrett-Jackson auction are sold “as-is,” and he is not contesting that fact. He is claiming that Park Place and its president misrepresented the vehicle. Park Place says that it used the description that came with the car through several prior owners. The man who now owns the car says that does not matter since Park Place was responsible for entering the car into the auction with a false description.

The court will have to determine whether Park Place and its president should have made sure that the description was accurate before entering it into the auction. Among other damages, the owner is asking for a full refund of the purchase price. Similar business litigation could be filed against any company when a customer claims that he or she did not receive the merchandise advertised.

Source:, “Local car dealer sued over classic car sold at auction“, Connie Thompson, Sept. 3, 2015

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